This article first appeared in The Edge Financial Daily on December 13, 2019 - December 19, 2019

KUALA LUMPUR: Axiata Group Bhd’s digital services arm Axiata Digital Services Sdn Bhd (ADS) is partnering Great Eastern to provide affordable and customised insurance and takaful products for consumers, micro-entrepreneurs and small and medium enterprises (SMEs).

ADS chief financial officer Sheyantha Abeykoon said the partnership is formed between ADS’ fintech service provider unit, Axiata Digital Capital Sdn Bhd — which operates under the brand name Aspirasi — and Great Eastern. Sheyantha, who is also Aspirasi’s executive director, said the insurance and takaful products will be offered on Aspirasi and its partner platforms.

In Malaysia, the insurance and takaful products will be underwritten by Great Eastern Life Assurance (Malaysia) Bhd, Great Eastern General Insurance (Malaysia) Bhd and Great Eastern Takaful Bhd, said Sheyantha. In Indonesia, the products will be underwritten by PT Great Eastern Life Indonesia and PT Great Eastern General Insurance Indonesia.

“We are excited to work with Great Eastern, a leading insurer that continuously sets new standards in the industry,” he said at the signing ceremony here yesterday.

“At Aspirasi, we are focused on technology and data that not only enable business innovation at an unprecedented level and scale, but give us invaluable insight into the different needs of our broad range of consumers.

“Through this collaboration, we then match the bite-sized products with specific needs of the customer for an unparalleled digital experience,” he added.

Sheyantha said Aspirasi is committed to assisting micro-enterprises and SMEs to achieve their business goals through a range of micro-finance and bite-sized insurance and takaful solutions.

“Having also disbursed RM50 million worth of micro-loans funds to 9,000 merchants to date, Aspirasi aims to be a trusted and preferred digital financial partner for the underserved community,” he said.

“The comprehensive range of insurance and takaful products are designed to meet the different needs of the customers’ lifestyle, including, but not limited to, life insurance and takaful, health insurance, home insurance, personal accident insurance, with premiums or contributions starting from RM1.50 and 5,000 rupiah,” he added.

Sheyantha said this partnership marks the first insurtech alliance between a digital financial services platform and an insurance and takaful provider to provide a seamless experience of convenience in immediate online purchase to help bridge the protection and insurance gap in Malaysia and Indonesia.

“Through this partnership, Malaysians and Indonesians can access a wide range of insurance and takaful products that are simple and bite-sized to suit specific needs,” he said.

Great Eastern group chief executive officer (CEO) Khor Hock Seng said this partnership will allow the insurer to reach out to the wider base of consumers who go online to purchase and manage their insurance and takaful needs.

“Great Eastern’s strong expertise in designing relevant products, coupled with the convenience of digital platforms, will provide a unique value proposition to these customers,” he added.

Axiata shares slipped one sen or 0.24% to RM4.19 yesterday, giving it a market capitsalisation of RM38.4 billion. The stock has climbed about 14% in the past 12 months.